The value of monthly retail sales improved for an eighth consecutive month in April, up 4.3 per cent year-on-year. After adjusting for the retail sales rate of inflation, the volume of sales rose 3.8 per cent.

Depending on how the latest statistics are viewed, they show a positive improvement in sales but also reflect how far the retail economy still has to go to return to the pre-economic downturn levels of activity seen in 2006.

A clear example of that is in the building material stores’ sales figures, which edged up 5.5 per cent year-on-year in April to continue a five-month upward trend. However, the sector’s sales volume is a mere 38.5 per cent of what it was in 2006, the reference point year for measuring the shift in sales in the Department of Statistics’ Retail Sales Index.

As they have done for much of this year, motor vehicle stores led the way with a 51.5 per cent increase in sales during April.

Food sales were up 2.9 per cent, although this was mostly due to a 3.1 per cent rise in food prices.

Service stations’ receipts were 6.8 per cent lower, linked to a drop in the price of fuel.

And it wasn’t a rosy picture for apparel stores as they recorded a 7.1 per cent drop in sales year-on-year.

Although still far below the volume of sales nine years ago, the 5.5 per cent increase in the value of sales for building material stores was welcomed by Sacha Bearden, owner of Warwick-based Baptiste Ltd. She said the firm had noticed a small improvement in sales with customers coming in for items that could be used on small residential projects, such as new bathroom units and window shutters.

“Maybe they have been putting off doing something for the past five years and are now going ahead. I would say it is small projects that are being done,” she said.

“Business has been slowly going up. People have been coming in for bathrooms and shutters. We’ve seen a lot of people looking for shutters even before there has been a named storm.”

Sales volume in the sector is less than 40 per cent of what was achieved in 2006.

Ms Bearden said that in 2007 and 2008 her business had been working at full steam to meet the demands of builders and construction companies. But then the market dived as the economic downturn took hold.

The company adapted to the changing environment by offering a wider range of products, targeted more at regular household customers.

“We started to diversify into retail products, like toasters, Tupperware, lawnmowers, and that has helped us,” said Ms Bearden.

Elsewhere, there was a sense of optimism in the motor vehicle stores sector as April’s figures continued an upward trend that has seen five of the last six months producing better year-on-year figures.

Glen Smith, general manager of Auto Solutions, described April as a “bumper month”.

He said: “We sold 81 cars. The new Honda HR-V, which is an ‘H’ class car, totally sold out.”

He said most of the company’s car sales in April were for mid-priced vehicles. He believes the sales reflect a small increase in the number of people coming to live on the Island, with some sales attributed to customers involved in the America’s Cup.

There were a notable level of commercial truck sales. Mr Smith said there had been an uptick in sales to the construction sector as firms started replacing ageing fleets.

When asked if he was optimistic the improving trend would continue, he said: “Yes, I’m optimistic. April was a good month and June is looks like a strong month for us compared with last year.”

Motor vehicle stores’ sales in April were 81.5 per cent of the 2006 level.

In a statement, Acting Minister of Finance Michael Fahy said: “As far as broad economic indicators go, the retail sales report is one of the most timely, providing data that is relatively current.

“The numbers just released are encouraging as they represent the eighth consecutive month that the value of retail sales has increased. This is further evidence that we are turning the corner as it relates to the Bermuda economy.”